Overview of USEP and Supply Cushion – Jan to Dec 2025

In November, demand rose by 1.5 percent to 6,683MW, while supply dipped by 2.4 percent to 8,045MW. This led to a 3.2 percentage point decrease in the supply cushion to 17.0 percent.

In line with the lower supply cushion, the monthly average Uniform Singapore Energy Price (USEP) in November increased by 36.9 percent to $139.68/MWh. There were 12 periods in November with the USEP clearing above $500.00/MWh, compared to none in October. The daily USEP ranged between $92.61/MWh and $291.02/MWh in November.

In December, demand contracted by 4.0 percent to 6,417MW, and supply fell by 0.2 percent to 8,029MW. This pushed the supply cushion up by 3.1 percentage points to 20.1 percent – marking the second instance this year where it exceeded 20.0 percent. 

The monthly average USEP in December fell 31.9 percent to $95.09/MWh, resulting in the lowest monthly USEP since February 2021. The decline was in line with a 6.5 percent drop in fuel oil price, coupled with the increase in supply cushion. The daily USEP ranged between $78.57/MWh and $160.05/MWh.

Additionally, forecasted solar generation (from Periods 15 to 38) decreased by 8.2 percent and 3.2 percent to 413MW and 400MW in November and December, respectively.